fgc webinar presentation: green energy can save you greenbacks€¦ · u.s. department of energy...

1U.S. DEPARTMENT OF ENERGY OFFICE OF ENERGY EFFICIENCY & RENEWABLE ENERGY

Green Energy Can Save You GreenbacksFederal Green Challenge Webinar on the Affordable Power Infrastructure Partnership (APIP)


Federal Green Challenge and APIP

The APIP team is offering to partner with your agency to get you cost savings and other benefits using on-site

renewable energy.

Photo by DOE/FEMP – APIP Team Inspecting National Archives Array + Battery

http://www.flickr.com/photos/kylemacdonald/5341665045/


Agenda

• Affordable Power Infrastructure Partnership (APIP)– The time is ripe for federal on-site renewables– APIP wants to support your agency’s projects

• The Customer Perspective – US Forest Service R5 Headquarters

• Questions and Answers

Photo by GSA - USFS Region 5 Headquarters



Tracy (Logan) NiroFEMPProgram Advisor

Rachel ShepherdFEMPProgram Lead

Chandra ShahNational Renewable Energy Laboratory

Gerald RobinsonLawrence Berkeley National Laboratory

Ben MacholEPA Region 9

APIP Team

Karlynn CoryNational Renewable Energy Laboratory

Emma ElgqvistNational Renewable Energy Laboratory

Ray SaracinoEPA Region 9


Renewable Energy Potential Is Tremendous!

Geographic Distribution of Solar Photovoltaic Levelized Cost of Energy–Price Spreads (2015)


Renewable Energy Potential Is Tremendous!

Geographic Distribution of Wind Levelized Cost of Energy–Price Spreads (2015)


Dramatic Cost Decreases

U.S. Department of Energy, Office of Energy Efficiency and Renewable Energy, Revolution Now – Accelerating Clean Energy Deployment.DOE/EE-1478, September 2016. https://energy.gov/eere/downloads/revolutionnow-2016-update.

Along with renewable energy technologies, battery storage costs have decreased significantly over the past 10 years

https://energy.gov/eere/downloads/revolutionnow-2016-update


Lower Contract Prices: More Economic Potential

Wind Contract Prices at All-Time Low

Solar Contract Prices Decreasing(even with storage)

Lawrence Berkeley National Laboratory, Utility Scale Solar: Empirical Trends in Project Technology, Cost, Performance, and PPA Pricing in the United States – 2018 Edition. LBNL and U.S. Department of Energy Solar Energy Technologies Office, September 2018. https://emp.lbl.gov/sites/default/files/lbnl_utility_scale_solar_2018_edition_report.pdf

U.S. Department of Energy, 2017 Wind Technologies Market Report. LBNL and U.S. Department of Energy Wind Energy Technologies Office, August 2018. https://www.energy.gov/sites/prod/files/2018/08/f54/2017_wind_technologies_market_report_8.15.18.v2.pdf

https://emp.lbl.gov/sites/default/files/lbnl_utility_scale_solar_2018_edition_report.pdf

https://www.energy.gov/sites/prod/files/2018/08/f54/2017_wind_technologies_market_report_8.15.18.v2.pdf


Act Quickly to Maximize Savings

• Solar Tax Credit for developers declines• Commercial tax credit reverts to 10% if projects not

complete by year end 2023

0%

5%

10%

15%

20%

25%

30%

2019 2020 2021 2022 2023 2024

Placed in Service Date

Section 48 Tax Credit (Commercial)

Start of Construction - 2019Start of Construction - 2020Start of Construction - 2021Start of Construction - 2022

Modified from: National Renewable Energy Laboratory, Q1/Q2 2018 Solar Industry Update. NREL/PR-6A20-72036, August 2018. https://www.nrel.gov/docs/fy18osti/72036.pdf

https://www.nrel.gov/docs/fy18osti/72036.pdf


Benefits of On-site Renewable Energy

Direct Cost Savings Other BenefitsPrivate ownership for greater savings (e.g. tax incentives, SREC sales)

System performance risk is on third party, including operation and maintenance

No up-front capital investment Complexity of project development is handled by third party

Long term utility cost stabilization Increased industry interest from replicable solutions

Economies of scale from site aggregation, where applicable

Aggregation can maximize savings and increase bidder interest

Avoided premium cost of unbundled RECs to meet federal mandates

Support of domestic energy independence


Other Potential Benefits of On-site RE

• Site Resilience – Micro-grid ready– Extending the survivability

of grid outages• Local utility grid reliability • EV charger ready • Shading and protection (carport only)

– for employee vehicles – for government vehicles and equipment

• Habitat protection for pollinators (ground mount only)

Photo by GSA – Clifton Young Federal Building



APIP Overview

APIP partners your federal energy with DOE FEMP experts using a programmatic approach

to implement cost effective, on-site energy generation projects through public-private

partnerships.

Programmatic Approach

Cost Savings Partnerships


APIP’s Programmatic Approach

APIP’s programmatic approach achieves the best possible outcome for an agency pursuing on-site energy generation projects with the least staff-time investment by applying the following:

1. An established process using tools and resources

2. Project assistance from subject matter experts

3. Lessons learned and government best practices


Roles and Responsibilities

Team Member Central Roles

Agency • Sets requirements and goals• Provides agency specific policies, requirements, and

data• Convenes a strong project team (energy champion,

contracting officer, support staff, etc.)

FEMP & EPA • Provides subject matter experts that help avoid “reinventing the wheel”

• Provides technical and procurement resources ( tools, examples, templates, guidance, etc.)

• Offers project specific assistance including project development coordination


Project Implementation Process

Phase 1Project

Identification

Phase 2 Project Team

Formation

Phase 3Project Validation

Phase 4Procurement

Phase 5Construction and

Performance

Phase 6 Federal Reporting


FEMP No-Cost Assistance Package*

• Desktop screening of potential projects

• Time-saving resources & references – ESPC ESA Toolkit and

templates– Technical Specifications

with templated language and project considerations

– Agency-specific procurement package

• Project development support:– Assisting project

champion with internal approvals

– Conducting project validation

– Procurement document development from FEMP and retired contracting officer**

* Other services can be provided upon request or as additional funding becomes available ** With approval and under the guidance of the project CO


Lessons Learned & Government Best Practices

A FEMP partnership brings lessons learned and government best practices, so that an agency:• Realizes the greatest savings

possible• Reduces burdens on CO and

agency staff• Reduces project risk and time invested• Focuses on projects with the most technical and economic

viability• Capitalizes on other critical non-energy benefits like resilience,

where applicable

Photo by GSA – National Archives San Bruno, CA



Successful Projects with Site Aggregation

Federal Aggregated Solar Procurement Pilot

Capital Solar Challenge

Contract awarded by GSA R9 to Solar City (now Tesla) in December 2015

Contract awarded by GSA National Capital Region to WGL in December 2015

5.5 MW, 8 locations (7 GSA, 1 USFS)

2.7 MW, 18 DC buildings included in the RFP

Estimated $5 million savings over contract term. PPA price varies by location but does not escalate

One contractor and one PPA price for all buildings ($0.04 per kWh, 1.5% escalation rate)


Contact Information

Rachel Shepherd FEMP, Program Lead

[email protected]

mailto:[email protected]

fgc webinar presentation: green energy can save you greenbacks€¦ · u.s. department of energy...

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